Court to review decision

The National Main Stories

By KARO JESSE
THE National Court will review the State’s refusal to extend a Special Mining Lease (SML) for Barrick Niugini Ltd (BNL), the operator of the Porgera gold mine.
The court ordered the judicial review after it granted leave to BNL on Friday.
BNL had filed the proceedings seeking review to ensure there were procedural fairness in decision making.
The miner claimed that the State had failed to take into account relevant considerations and the decision was made in bad faith.
Deputy Chief Justice Ambeng Kandakasi upheld submissions by BNL’s lawyer, claiming the miner had sufficient interest and the decision by the National Executive Council (NEC) had affected agreements between the State and miner in a mining development contract signed in May 12, 1989.
The court ruled that BNL through the contract had sufficient interest to file the proceedings as it found that grounds pleaded by BNL were sufficient.
Justice Kandakasi found that the State had failed to provide the reasons of its refusal to extend the miner’s SML since BNL submitted that application for extension of SML was submitted two years prior to its expiry date.
BNL’s lawyer Derek Wood, of Ashurst Lawyers, claimed the decision was sudden because the State did not explain why it had taken too long to process the application which was filed two years earlier
Justice Kandakasi told both parties that every decision had to come with a reason.
“If there is no reason than how can you claim that it is a decision?” he asked.
Concurrently, BNL also informed the court that the State had not been responding to its proposed environment safety plan regarding the care and maintenance of the mine site.
Justice Kandakasi ask the State why it had taken so long for the relevant authorities to respond to the safety plan when the decision of refusal was announced in March 11.
Solicitor-General Tauvasa Tanuvasa informed the court that it was because BNL had provide less data.
Tanuvasa further explained that it was the duty of government authorities to respond to the proposed safety plan.
BNL had also filled an interim injunction regarding the decision pending the determination of the substantive review.
Justice Kandakasi further ordered the State and the miner to have a conference to come up with a complete agreement regarding the miner’s proposed environment safety plan.
He ordered that both parties had to present the complete agreement in court on Friday before he can hear any further applications from both parties.

7 comments

  • Papua New Guinea Government has done what Papua New Guineans wants. If both parties to appear before court on Friday, there should be three – five judges for this court hearing. The court will decide.

  • Government decision is correct. There are many things not right in Porgera.
    1. Are the environment permit requirements being met?
    2. Where is the confirmation to the true landowners. All you have now are associations?
    3. All the contractors currently participating, most are not from Porgera.

    These are a few areas that should open the eyes of those that do not understand.

  • This is unbelievable, review that document signed in 1982 and make it public knowledge the shares are day light robbery..
    Come on let’s kick them out and empower our landowners and Government to work out something reasonable for the people of Pogera.

  • The decision to Nationalize Porgera is a right step forward to taking ownership of our natural resources. However, we must also be cautious and prudent in our decision, ensuring our decision is guided by our existing Laws and not by our determination of taking over without due process and/or overlooking our Existing Laws. We must understand that we are dealing with one of the world’s giant companies. If court finds State have breach its own process of screening BNL’s applications, the state will pay dearly in terms of damages to the company. Last year, Pakistan compensated BNL US$6.8billion in a case similar to current. We pray for all parties to reach an amicable solution.

  • Prime Minister is standing behind his people he represents, the people of Papua New Guinea. The people are the power. People have spoken…. Court system should respect people’s decision. People’s decision is final… NOT… Courts…. The corporate citizen is faceless ghost who want to suck real people -human beings …. Long Live Prime Minister…. People’s Power will still Prevail….

  • The Judge had to know there was an agreement between the state and the mining company otherwise he would not have had an actionable case to consider.
    The agreement has a starting date and an ending date.
    That date was reached and the contract has thus expired.
    Now that surely doesn’t need highly paid barristers and judges to wast their time.
    UNLESS Barrick is playing the corporate legal game of delaying tactics to see costs of litigation rise month by month.

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